The day’s selling was led by domestic investors while foreign investors continued to buy, BSE data showed. The selling in mid and small-cap stocks was even sharper.
According to Siddhartha Khemka, head of retail research at Motilal Oswal Financial Services, markets were impacted due to new tensions between US and China which resulted in global profit booking. “In addition, the Microsoft outage impacted a lot of large organisations, airlines and stock exchanges globally. Investors are also cautious ahead of the Budget next week, which will provide the next set of directions to (investors),” Khemka said.
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